Ann: Leadership Change, page-23

I am still trying to digest this.

1. The board needed to act and be seen to be doing the right thing. They have, but it’s a case of “too little too late”
2. I reaffirm my personal opinion that it it is now not a matter of if, but when CCE go into administration.
3. The pull back of cash from the EMC - TAG transaction was absolutely the right thing to do, well done to whom ever on the board drove that. However the reason is very simple... it’s because CCE do not have the cash to give for reasons articulated above.
4. The sell down of equity in Northam further highlights this thinking. If I was in the IBA business I would be VERY nervous about what you have been sold.
5. EMC - TAG deal: CCE have asked for different terms, effectively they have pulled out of a transaction so expect discussions in the coming weeks to be completely different contrary to ASX announcements. CCE is close to folding so I would not be surprised if the transaction does not progress but then MPower pick up the bones through the administrator.
6. I suspect the board of CCE are ruing the day they got into bed with EMC. I don’t know what was sold to them but it looks like one of the biggest con jobs of all time. I hope ASIC go through the transaction with a fine tooth comb. They will find I expect one of two things; gross incompetence or fraudulent activity. Either will result in legal action.
7. At current levels and given his shareholding, Mr Davidson is the ONLY person at present who will truly benefit from this catastrophe. Mr Davidson’s first tranche of shares come out of escrow in December. If CCE can survive till then  I expect a big sell off .
8. Everyone has their wish, Mr Ottaviano is gone. As shareholders we now need to acknowledge and respect how difficult the job Mr Fievez has in front of him. He is not the enemy and should be given grace for the pile of dung he has inherited. I suspect his role is now to take CCE into administration, restructure and then carry on. This however does not help shareholders.
9. I note however that the board acknowledges that the remuneration to the exiting CEO was inappropriate and the new level is more akin to a company of this size. Well done to Mr Ottaviano for managing to dictate such a grossly exorbitant salary yet deliver so little. I’ve said it before, but what a masterful effort. I’m sure we wish we could all commandeer the same situation in our own personal lives.
10. Mr Stinson’s latest comment that "We follow very good governance, we disclose to the shareholders everything we're doing," is on the nose. I will forgive him however for his predecessors mistakes however expect a call Terry.
11. Life goes on! Today is a day of more important things, Football!!! Good luck to everyone, including Mr Ottaviano.